Medtronic (NYSE:MDT) today reported fiscal 4th-quarter results that beat Wall Street’s expectations on both the top and bottom lines, sending shares up in pre-market trading despite a slide into red ink.
The Fridley, Minn.-based medical device giant posted a loss of -$1 million, or 0¢ per share, on sales growth of 60.0% to $7.30 billion for the 3 months ended April 24, compared with the same period last year. But adjusted to exclude 1-time items, earnings per share were $1.16, a full nickel ahead of The Street, where analysts were looking for earnings of $1.11 on sales of $7.19 billion.
For the full year, Medtronic reported a profit decline of -12.7% to $2.68 billion, or $2.41 per share, on sales growth of 19.1% to $20.26 billion compared with fiscal 2014. Adjusted to exclude 1-time items, earnings per share were $4.28, 11¢ under The Street’s forecast. Analysts were looking for full-year sales of $27.73 billion.
“I am encouraged by our strong 4th-quarter performance, the 1st quarter that reflects the combined results of Medtronic and 3. In addition to making solid progress on our integration of Covidien, these results reflect disciplined execution across our three core strategies of therapy innovation, globalization, and economic value,” chairman & CEO Omar Ishrak said in prepared remarks. “As we look ahead to fiscal year 2016, we remain focused on consistently delivering on our strategic and financial commitments. We feel the company is well positioned to be a catalyst in transforming healthcare to a value-based model, using medical technology and services to deliver improved outcomes and efficiency, together with our provider partners around the world.”
Medtronic said it expects to report EPS of $4.30 to $4.40 for fiscal 2016 on constant-currency sales growth of 4% to 6%.
MDT shares rose 1.7% to $78 even this morning in pre-market trading.